Amarillo vs Waco
Cost of Living Comparison · 2026
Amarillo
Waco
The Verdict
Living in Amarillo costs 10.8% less than Waco. To match the purchasing power of a $75,000 salary in Amarillo, you would need $84,122 in Waco.
Category-by-Category Breakdown
Index values · National average = 100 · Lower is more affordable
Salary Equivalence
A $75,000 salary in Amarillo has the same purchasing power as $84,122 in Waco.
Conversely, $75,000 in Waco equals $66,867 in Amarillo.
Living in Amarillo vs Waco
Housing Costs
Amarillo's housing index of 59 is lower Waco's 63, translating to median home prices of $195,000 vs $230,000. The $35,000 difference in home prices means roughly $2,280 per year in additional mortgage costs at current rates. Renters face a similar gap: $975/mo in Amarillo compared to $1,050/mo in Waco, a monthly difference of $75.
Grocery & Food Costs
Grocery expenses index at 92 in Amarillo and 95 in Waco. A household spending the national average of $475/month on groceries would pay approximately $437/month in Amarillo vs $451/month in Waco. The difference in grocery costs between these cities is relatively minor and unlikely to be a deciding factor in relocation.
Utility Expenses
Utility costs — electricity, gas, water, internet — index at 94 in Amarillo and 97 in Waco. Monthly utility bills average approximately $376 in Amarillo vs $388 in Waco. Utility costs are relatively comparable between these two cities.
Healthcare
Healthcare costs index at 104 in Amarillo and 93 in Waco. This encompasses insurance premiums, doctor visit copays, dental care, and prescription costs. The 11-point gap reflects real differences in provider costs, insurance market competition, and regional healthcare infrastructure.
Income & Purchasing Power
Median household income is $58,500 in Amarillo and $49,500 in Waco. After adjusting for local costs, purchasing-power-equivalent incomes are approximately $79,054 and $59,639 respectively. Amarillo residents enjoy stronger real purchasing power despite higher nominal wages.
Relocation Considerations
Under the standard 28% rule, a median-income household can allocate $1,365/month to housing in Amarillo vs $1,155/month in Waco. In Amarillo, median rent of $975/mo fits within this budget. In Waco, median rent of $1,050/mo remains manageable. The biggest category-level difference between these two cities is Transportation, where the gap is 14 index points — focus your budget analysis there.
Frequently Asked Questions
Moving & Relocation Resources
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